Chinese automaker Zhejiang Geely Holding Group Co. has finalized its purchase of Volvo Cars from the Ford Motor Company.

The acquisition is the largest by a Chinese company of a foreign automaker to date. The $1.8 billion deal (€1.38 billion) was completed today when Geely paid Ford $1.3 billion in cash (€996 million) and issued a promissory note for an additional $200 million. Geely will pay the remainder of the sale price later in the year.

Taking over the reigns in Gothenburg, Sweden as CEO of Volvo Cars will be Stefan Jacoby, who left his position as head of VW of America back in June. Jacoby replaces Stephen Odell who stays with Ford and has been promoted to head Ford of Europe.

Jacoby faces a difficult set of challenges ahead of him. First off, Volvo hasn't made a profit since 2005. Also, he has to grow the brand both in Europe and North America while also playing catch-up in China with premium marques such as Audi and BMW. China is now the world's largest car market and is expected to continue to grow much larger over the next several decades.